No backing down by Blair

Tony Blair today told fractious Labour MPs there would be no retreat from his controversial reforms of schools and hospitals.

The Prime Minister directly warned his backbenchers that any deviation from his "forward agenda" could risk defeat at the next election.

With less than two weeks to go before Labour's annual conference at Bournemouth, Mr Blair signalled he was in no mood to bow to critics. He faced hostile questioning from backbenchers at a meeting of the parliamentary Labour party today - with MPs particularly concerned about top-up university tuition fees and his close alliance with President Bush. Mr Blair appeared determined not to give any ground, referring to the political battering he has suffered over the summer over Iraqi weapons and domestic issues as "difficulties".

He said: "When the difficulties are out of the way, people will see we have a basic progressive project; reform, strengthening the economy, opportunity. That is what will determine whether we succeed or fail. The issues that will determine re-election are the issues we are campaigning on: the NHS, schools, anti-social behaviour.

"We need to show two things: one, that we have made progress; two, that we have got a forward agenda."

He is said to have told close colleagues he would "engage, explain, listen and trust" as he tries to recover from the battering he has taken over the David Kelly affair and domestic policy issues.

Mr Blair is said to have told aides that retreat from reforms, or over Iraq, would be an "absolute disaster" despite looming rebellions from Labour MPs and peers on foundation hospitals and student top-up fees.

Mr Blair will not abandon the controversial "differential" system which allows institutions some freedom to set fees. He is, however, likely to provide more money for university bursaries.

Other areas which should be at the top of the agenda next year include drugs and asylum seekers. It has also emerged that Home Secretary David Blunkett's plans for a national ID card may be back on the agenda.